ROI

Former Member — Sat, 26 Jan 2008 12:58:35 GMT

Hi,

What is necessary or what are the questions to ask when figuring the ROI of a project?

Thanks,

Das.

Re: ROI

Former Member — Sun, 27 Jan 2008 09:50:38 GMT

Hi,

First you need to look at what ROI means -- Return On Investment. Most companies want a return on their investment within a period of 3 years of less.

Now with that said, there are two key areas to focus on when attempting

to ROI a project:

1.) Cost savings.

You need to look for ways that implementing this new technology is going to save your company money. The savings needs to come from hard dollar saving -- in other words, cutting the cost of money already being spent. Productivity increases are not hard dollar savings and should not be included in this part. However, be sure to include any productivity increases in your proposal to upper management.

2.) Increased revenue.

Increasing the company's bottom line by providing a revenue source is always a good thing. Look for ways that your project will increase the company's bottom line.

Reward points if found helpfull..

Cheers,

Chandra Sekhar.

Re: ROI

Former Member — Sun, 27 Jan 2008 09:53:42 GMT

Hi Manosh,

use the link

http://www.oracle.com/corporate/analystportal/insider/nucleus_real_ROI_SAP_2003.pdf

pls reward if helpful.

cheers,

Hema.

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